Audio 3:11
Holden workers vote for salary payment freeze

Peter Lloyd
Tue Aug 13 19:00:00 EST 2013

Holden workers in Adelaide have voted to freeze their salaries in an effort to keep their jobs. But the deal won't necessarily save the company because the car manufacturer is waiting to negotiate a new funding arrangement with the next federal government.

Transcript

MARK COLVIN: Holden workers in Adelaide have voted to freeze their pay in order to save their jobs.

Despite the decision, the future of the company won't be guaranteed until after the election next month.

That's because the car maker is waiting to strike a new funding deal with the incoming government.

Peter Lloyd reports.

PETER LLOYD: It was a vote with high stakes. Rejecting the pay freeze could have started the countdown for Holden to follow Ford and close down production in Australia from 2016.

Hundreds of workers at Holden's Elizabeth plant gathered on the rear lawn of the Adelaide operation after lunch for a secret ballot.

A few hours later, an emotional John Camillo, from the Manufacturing Workers Union, held a media conference to announce the decision in favour of the freeze.

JOHN CAMILLO: It's a tough choice. They made the right decision. The situation now, we'll be calling on the Coalition and the Government in regards to whether they support the automotive industry in Australia and whether they support Holden in regards to co-investment for the replacement of the Cruze and the Commodore.

These workers have voted, and now it's up to the politicians to come forward to see whether they are prepared to support the automotive industry in Australia, and we'll do everything in our power to make sure we get commitments out of the politicians.

REPORTER: What was the vote?

JOHN CAMILLO: Look, I think it's unfair that I give any numbers at this stage. There are Victorians that have indicated they'll abstain from voting in Victoria over Wednesday, Thursday and Friday, but there's a few people who decide to vote, and I think it's unfair that we give the numbers out at this stage. Let the Victorians, if they want to vote, vote.

But early, early next week we'll put our FVIU (Federation of Vehicle Industry Unions) newsletters out explaining in regards to the detail, in regards to the numbers. I have the numbers before me but I think the Victorians should have that opportunity for those people, if they do want to vote, to vote.

REPORTER: You were saying though that you expected it to be a very tight vote, but you now say it was a clear majority?

JOHN CAMILLO: Well, a very clear majority, and the situation is our workers didn't want the union to go out and say it was one way or the other. I thought it was going to be very, very close, but these people have made the right choice. It was a very, very strong vote in regards to a positive yes. They do want to see a generation of the new Cruze and Commodore.

Now the situation is they're waiting for the next tick in the box, which will be the politicians, whether they're prepared to support GMH (General Motors Holden).

REPORTER: Is this a relief for you, John, after the campaign you've supposedly run?

JOHN CAMILLO: Look, it's hard, very hard.

REPORTER: Why is that? Is it because this is what you really wanted and you go the support and the workers saw commonsense out of this? Is that what you're feeling?

JOHN CAMILLO: Oh, I think a bit of that. I think a bit of young people. You know, I'm in my senior years; to see young people who want work, who want to work for the organisation, and when you see young people that are saying they want a job, they're finding it very difficult in regards to wage cuts and so on, but they're prepared to give it a good go, that hurt, because I know these people are sincere and continue to work here.

PETER LLOYD: The vote won't be complete until Holden workers in Melbourne have their say on Friday, and then the workers will have to wait for the outcome of the election.

Holden bosses are due to meet with the new government sometime in September. The company wants a clear-cut commitment about government co-funding before it commits to sticking with vehicle production in Australia.